Deadline close for national PAYE modernisation
A SURVEY signals a busy quarter four ahead for Wicklow’s 7,600 plus businesses, as preparations begin for digitisation of the national PAYE taxation system.
The deadline for the modernisation is January 1.
While 66 per cent of SMEs throughout the country are ‘short on detail’ on the system overhaul, 40 per cent say they are ‘not at all prepared’ for the changes necessary to their payroll systems in advance of the deadline.
These were the findings of the latest Big Red Cloud SME Survey, which asked business owners and managers their position on the PAYE modernisation being introduced by Revenue.
CEO of Big Red Cloud Marc O’Dwyer said that they have been doing a lot of work on compliance behind the scenes.
‘We’ve been doing a lot of work behind the scenes to prepare our Payroll software to ensure all our client’s and their payroll processes are compliant when the changes come into force. We have also been working closely with accountants working with SMEs all over Ireland to assist in any way we can as everyone gets ready for the huge overhaul of the PAYE system, the first in 58 years, that will come into force in just over 4 months.’
The new system means that employers will have to provide real-time information of wages, tax deductions and allowances etc. for each employee, regardless of the basis on which they are employed.
‘A huge amount of preparation on the part of both accountants and business owners will be necessary to ensure operational and regulatory compliance,’ said Mr O’Dwyer.
He said that the clear message that needs to reach the business community is that ‘action now, and not later’, is what’s required.